Understanding React Higher-Order Components

Can someone please explain Higher-order components in React. I have read and re-read the documentation but cannot seem to get a better understanding. According to the documentation, HOCs help remove duplication by creating a primary function that returns a react component, by passing arguments to that function. I have a few questions on that.

  • If HOCs create a new enhanced component, can it be possible not to pass in any component as argument at all?
  • In an example such as this, which is the higher order component, the Button or the EnhancedButton.
  • I tried creating one HOC like this:

    // createSetup.js
    import React from 'react';
    export default function createSetup(options) {
        return class extends React.Component {
            constructor(props) {
                this.state = {};
                this.testFunction = this.testFunction.bind(this);
            testFunction() {
                console.log("This is a test function");
            render() {
                return <p>{options.name}</p>
    // main.js
    import React from 'react';
    import {render} from 'react-dom';
    import createSetup from './createSetup';
    render((<div>{() => createSetup({name: 'name'})}</div>),

Running this does not show the HOC, only the div

Can anyone help out with a better example than the ones given?